In this insightful episode of The Dental Boardroom Podcast, Wes Reed, CPA, CFP and founder of Practice CFO, breaks down the real financial impact of staying in-network with PPOs versus transitioning to a fee-for-service (FFS) model. Using a crown-focused case study, Wes illustrates how fewer procedures can yield significantly higher profits under FFS — even with some patient attrition. If you're a dental practice owner evaluating your profitability strategy, this episode will give you a clear-eyed view of the numbers that matter.

Key Points Covered:

• The purpose of PPOs: high patient volume but lower profit margins.
• FFS model: fewer crowns, less overhead, but more profit.
• Why many dentists feel trapped in PPOs despite shrinking reimbursement rates.
• A detailed crown-based financial comparison: 30 PPO crowns vs. 20 FFS crowns.
• Key overhead costs: fixed vs. variable and their implications in each model.
• Why switching to FFS can potentially double your net profit.
• The long-term sustainability challenges of staying in-network.
• How patient relationships and brand strength affect attrition rates when transitioning out-of-network.
• Practical considerations for associate-driven vs. solo practices.

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